Equity Bancshares (NASDAQ:EQBK – Get Free Report) and CrossFirst Bankshares (NASDAQ:CFB – Get Free Report) are both small-cap finance companies, but which is the superior investment? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, institutional ownership, dividends, profitability, earnings and risk.
Risk & Volatility
Equity Bancshares has a beta of 0.78, suggesting that its share price is 22% less volatile than the S&P 500. Comparatively, CrossFirst Bankshares has a beta of 1.07, suggesting that its share price is 7% more volatile than the S&P 500.
Profitability
This table compares Equity Bancshares and CrossFirst Bankshares’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Equity Bancshares | 18.66% | 14.64% | 1.31% |
| CrossFirst Bankshares | 15.18% | 11.06% | 1.08% |
Earnings & Valuation
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Equity Bancshares | $225.03 million | 3.20 | $62.62 million | $3.93 | 10.47 |
| CrossFirst Bankshares | $261.78 million | 3.01 | $78.55 million | $1.56 | 10.25 |
CrossFirst Bankshares has higher revenue and earnings than Equity Bancshares. CrossFirst Bankshares is trading at a lower price-to-earnings ratio than Equity Bancshares, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a breakdown of current recommendations and price targets for Equity Bancshares and CrossFirst Bankshares, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Equity Bancshares | 0 | 3 | 3 | 0 | 2.50 |
| CrossFirst Bankshares | 0 | 0 | 3 | 0 | 3.00 |
Equity Bancshares currently has a consensus target price of $46.60, indicating a potential upside of 13.28%. CrossFirst Bankshares has a consensus target price of $19.33, indicating a potential upside of 20.91%. Given CrossFirst Bankshares’ stronger consensus rating and higher possible upside, analysts plainly believe CrossFirst Bankshares is more favorable than Equity Bancshares.
Insider & Institutional Ownership
71.8% of Equity Bancshares shares are owned by institutional investors. Comparatively, 56.3% of CrossFirst Bankshares shares are owned by institutional investors. 6.6% of Equity Bancshares shares are owned by insiders. Comparatively, 9.3% of CrossFirst Bankshares shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.
Summary
Equity Bancshares beats CrossFirst Bankshares on 7 of the 13 factors compared between the two stocks.
About Equity Bancshares
Equity Bancshares, Inc. operates as the bank holding company for Equity Bank that provides a range of banking, mortgage banking, and financial services to individual and corporate customers. The company accepts various demand, savings, money market, and time deposits. Its loan products include commercial and industrial, commercial real estate, commercial lines of credit, working capital, term, equipment and aircraft financing, acquisition, expansion and development, borrowing base, real estate construction, homebuilder, agricultural, government guaranteed, and other loan products. The company's loan products also comprise 1 4 family residential mortgages, agriculture, consumer, residential real estate mortgage, and agricultural real estate and production loans. It also provides debit and credit cards; insurance brokerage; trust and wealth management; online banking solutions, such as access to account balances, online transfers, online bill payment, and electronic delivery of customer statements; mobile banking solutions comprising remote check deposits with mobile bill pay; ATMs; and treasury management, wire transfer, automated clearing house, and stop payment services. In addition, the company offers cash management deposit products, such as lockbox, remote deposit capture, positive pay, reverse positive pay, account reconciliation services, zero balance accounts, and sweep accounts, as well as banking services through telephone, mail, and personal appointments. It operates a network of branches in Arkansas, Kansas, Missouri, and Oklahoma. Equity Bancshares, Inc. was incorporated in 2002 and is headquartered in Wichita, Kansas.
About CrossFirst Bankshares
CrossFirst Bankshares, Inc. operates as the bank holding company for CrossFirst Bank that provides various banking and financial services to businesses, business owners, professionals, and its personal networks. The company offers commercial and industrial loans, including enterprise value lending; commercial real estate loans; construction and development loans, such as home builder lending; residential real estate, multifamily real estate, energy, SBA, and consumer loans; and credit cards. It also provides deposit banking products, including personal and business checking and savings accounts; treasury management services; money market accounts; certificates of deposits; negotiable order of withdrawal accounts; automated teller machine access; and mobile banking and international banking services, as well as non-interest-bearing demand deposits and interest-bearing deposits, including transaction accounts. In addition, the company acquires brokered deposits, internet subscription certificates of deposit, and reciprocal deposits. Further, it holds investments in marketable securities. The company serves its clients though branch network, as well as digital banking products. It has full-service banking offices in Kansas, Missouri, Oklahoma, Texas, Arizona, Colorado, and New Mexico. CrossFirst Bankshares, Inc. was founded in 2007 and is headquartered in Leawood, Kansas.
Receive News & Ratings for Equity Bancshares Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Equity Bancshares and related companies with MarketBeat.com's FREE daily email newsletter.
